Government accused of pensions u-turn

The Government has been accused of "abandoning" a generation of older women after backtracking over proposed pension reforms.

The scheme would have allowed people to buy back up to nine years of National Insurance contributions.

Age Concern claims the Government has made a "devastating u-turn" and that many older women could now face a retirement in "poverty".

The amendment to the 2007 Pensions Bill was passed by 179 votes to 86 earlier this year.

It was supported by Age Concern and was designed to let people buy back NI contributions, thereby boosting the income of many women and carers who were penalised by an unfair system.

Age Concern claimed that earlier this week the Government had "quietly backtracked" by announcing that no changes would be made to the current rules.

Michelle Mitchell, Age Concern's communications director, said: "This is a slap in the face for thousands of women in or approaching retirement who are being penalised for taking time out of work to care.

"Everyone approaching retirement should be given the opportunity to make more flexible National Insurance contributions, to ensure an adequate income in later life.

"The Government's shameful u-turn on this important amendment will condemn many more women to poverty."

The Government decision came during a debate in the House of Lords on Monday.

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